Top 5 Best Companies for Personal Loans: Our Ultimate Guide
Personal loans have become a popular option for those seeking to finance a big purchase or consolidate debt. With the availability of several companies offering personal loans that can be easily accessed online, it may be confusing to pick the best one for you. In this article, we’ll take a closer look at the top 5 best companies for personal loans, providing you with a comprehensive guide to help you make a well-informed decision.
1. Marcus by Goldman Sachs
Marcus by Goldman Sachs is a common name in the world of banking and finance. The company offers personal loans with no associated fees, no collateral, and a competitive annual percentage rate (APR). Their loans range from $3,500 to $40,000, making them a viable option for different financial needs. Marcus also gives the borrowers access to their FICO score and tools to manage their finances through Marcus Insights.
2. SoFi
SoFi, an abbreviation for Social Finance, is another top-tier lender that has played a significant role in disrupting the traditional banking industry. The company provides personal loans for a variety of purposes and also offers additional perks such as career counseling and exclusive events. What makes SoFi stand out is that they offer lower interest rates through their untraditional underwriting approach that considers factors other than credit scores like cash flow and career trajectory.
3. Discover Personal Loans
Discover Bank, known for its credit cards, also offers personal loans through their Discover Personal Loans product. Borrowers can access loans starting from $2,500 up to $35,000, with APRs ranging from 6.99% to 24.99%. Discover personal loans come with no origination fees, no prepayment penalties, and flexible repayment options, making them a great option if you’re looking for a flexible lender.
4. LightStream
LightStream, a division of SunTrust Bank, is a digital lender that offers personal loans for various purposes such as home improvement, auto purchase, and debt consolidation. Their loan amounts range from $5,000 to $100,000, with APRs starting from 2.49%. LightStream boasts a quick loan disbursement process, competitive rates, and no fees associated with their personal loans.
5. Avant
Avant is a popular choice for those with average to poor credit scores, as the company provides access to personal loans for people with credit scores starting from 580. Avant’s loan amounts range from $2,000 to $35,000, with APRs ranging from around 9.95% to 35.99%. Customers can easily apply and receive the loan proceeds on the same business day in most cases.
Conclusion
Choosing the right lender for your personal loan is essential to avoid high-interest rates and unnecessary fees. While there are several companies out there providing personal loans, the five companies listed above are among the best in terms of the loan amounts, interest rates, and other features they offer. So, before applying for a personal loan, be sure to conduct thorough research, compare interest rates, points, fees, and other benefits associated with each lender to select the best one to meet your financial needs.
